SELLERS GUIDE

Our professional staff is located in Union Square providing full-service brokerage for sellers, including corporate relocations, commercial, financial, and investors.

For the seller, PRIME NYC adds value to your property through innovative and creative marketing.

PRIME NYC provides you with a survey, commonly known as comparative market analysis, consisting of intimate knowledge and an intense study of property value.

For starters, we take into account appreciation, supply and demand, presentation, price-per-square foot comparison, and image.

PRIME NYC will construct a custom marketing plan for your property. Marketing collateral includes advertising print and digital media, including the New York Times, Wall Street Journal, New York Observer, New York Magazine, etc.

Selling residential real estate is our business. We encourage sellers to learn from our experience in exposing the attractive features of your property, and necessary preparation for showings and open houses.

Make sure all rooms are not cluttered. Clear all excess chairs, lamps, magazines, toys, and tables that you don't use.

Windows should sparkle. Blinds and curtains should be open and lights should be on to brighten the room.

If the paint is peeling or cracking, consider painting the apartment.

Clean bathrooms are a must.

Agents and buyers often feel more relaxed and comfortable discussing the property in private. We suggest that you would attend to other activities or endeavors during the show.

Following our guidance will help to sell your property for the highest possible price in the most time efficient manner.

Bidding and Negotiating

Our agents request all offers in writing. Based on the building requirements, we pre-qualify each buyer and may request a financial statement with the offer.

Since we owe our fiduciary responsibility to you, the sellers, our goal is to negotiate the highest price possible keeping in mind not to lose the buyer. With countless transaction and negotiation experience, PRIME will guide you through each step ensuring a successful transaction.

Our marketing efforts may produce more than one buyer interested in purchasing your property. Our agents are trained in coordinating healthy bidding wars, and finishing with an ethical Last & Final step. It takes a skilled broker to coordinate a successful bidding war.

Standard Fund Requirements

The Budget
Location, size, amenities, building type, school locations and nearness to public transportation are crucial to determining what a property will cost. We suggest that buyers review financing options to determine what amount of money they can put toward a deposit and then determine what they can afford for a monthly mortgage payment. Some people may want to see if they pre-qualify for mortgage status in order to know what budget they will be working within.

Type of Property
The next thing to determine would be the type of property you'd like to buy. Would you like an apartment, condominium, coop or commercial property?

Apartment Purchase
For apartment purchases there is no approval process, besides normal financial inquiries. Buyers are entitled to have complete control over any renovations they wish to make. Maintenance costs are the sole responsibility an owner and with this the owner gets total control over maintenance and repairs. Transferring deeds or reselling an apartment do not require approval. The size of a property can vary according to a budget and location of the property.

Condominium Purchase
Condo owners buy the apartment and also own a percentage of the common building areas, i.e. entrance areas, hallways and recreational areas etc. The condominium is considered real property; because of this fact, owner's have the right to do use the property any way he/she sees fit. Owners are subject to pay property taxes which can either be escrowed into a part of a monthly mortgage payment or which are paid annually as an expense. Monthly maintenance fees are generally paid to the building's condominium association.

Coop Purchase
Buying a coop is tricky, but Prime NY Inc's team of qualified agents can help. When purchasing a cooperative apartment the purchaser is really purchasing shares in a cooperation. The shares correspond to the units in which you live. coop fees include a monthly mortgage payment and maintenance fees for the building. Maintenance fees are sometimes high but both mortgage payments and maintenance fees generally result in higher tax deductibles.

Estimated Fees

Cooperative Apartment:For Seller:

Broker Fees: Are typically 6%. Fees vary according to property size and amount of marketing

Attorney Fees: Approximately $1,500

Managing Agent: $450

Flip Tax: Consult Managing Agent

Stock Transfer Tax: $.05 per share

Move Out Deposit Fee: $1,000

New York City Transfer Tax: 1.00% of price up to $500,000 1.425% of entire price when it exceeds $500,000

General Closing Procedures:

What is a closing?

A closing is where a buyer gives a seller money in exchange for ownership and title to a particular property. This bargained for exchange, or consideration, transfers ownership and title of the property. The seller also needs to sign over other documents including a deed. The place of closing is normally at the bank attorney’s office. The parties present will be: seller, bank attorney, real estate brokers, seller’s attorney, buyer’s attorney and title closer.
Buyers need to apply for a mortgage as soon as the contract is signed by both parties. The mortgage process takes up to 45 days and can involve several procedures:

The mortgage broker compiles the buyer's financial information and then presents the loan application

The bank sends an appraiser to assess the property

The underwriters review the loan and issue a commitment letter.

If buying an apartment, coop, condo or any other property with a board or association, prepare your application package with your Prime NY Inc broker. These packages tend to vary from building to building. Most boards use the same financial requirements as the bank. Keep an extra copy of your mortgage application and any related documentation. Buyers, are required to get personal, professional and financial letters of reference. If renting, get a letter of reference from your current landlord. Ask what information is needed and for copies of sample reference letters. The board package is important, therefore, answer all questions in a clear, concise manner and give an accurate description of your financial qualifications. Before submitting your application package, write a cover letter, organize the presentation and review it with your Prime NY Inc broker.

The board package is submitted after a buyer receives his/her mortgage-loan commitment letter; it is submitted to a building's Managing Agent. The Managing Agent checks the application, evaluates credit and references, and then submits the package to the board. The board then reviews the completed package. Additional information may be requested or if the package is passed, an interview is scheduled. There is either an interview committee that approves new applicants or a board will do it during its monthly meetings. Your Prime NY Inc broker can assist you as to the date, time and any other preparations for your interview.

Closing is scheduled after the board approves an application package and completes the interview process. This generally takes 2 weeks for final approval and can vary depending on the availability of the parties involved; i.e. managing agent, buyer, seller, lawyers and banks.

Mortgage Insurance: Usually loans made from a down payment of less than 20% require mortgage insurance. This protects a lender if a borrower defaults on home loans.

Origination Fee/Points: Depending on the type of a loan and the rate a mortgage seeker chooses, he/she may pay points. 1 point equals 1% of the total loan amount.

Prepaid Interest: This amount pays the interest due from the date of funding to the end of the current month.

Recording/Transfer Fees: This covers the costs of changing the property title in official county records.

Title Insurance and Search: Fees that are charged for a title search and insurance fees. A title search is used to verify that that the seller is the true owner of the property being sold and that the seller has the right to sell it. Title insurance protects a lender in the event of a lien or other problems with the title for the property in question, that was not disclosed at the time of sale.

Time Until Closing: Generally sales take between 3-5 months to close depending on various factors. The most common factors affecting closing include: mortgage & financing, condo/coop board approval and negotiation.

Recommended Amount To Put Down: The amount needed to purchase property varies according on the type, size and location of a property. For example is the property a single or two family dwelling, coop or condo. Prime NY Inc recommends being prepared to pay about 10-20% of total price. Some properties may accept a smaller percentage for qualification. You will also need to set aside additional monies for closing costs.

Contract of Sale: is a legally binding agreement between a purchaser and a seller in which each party gives consideration, (bargains for an exchange) to define the terms of the sale.

NOTE: Sometimes there are other fees which may be charged. This generally occurs when the property is a condo or coop. Our brokers will be happy to discuss these with you.